Enter Gen Z: A dynamic consumer base stepping into the marketplace with distinct preferences sure to transform the way businesses effectively interact with the world. This generation is known for its affinity towards all things digital, social, and online – while maintaining an appreciation for an in-person shopping experience. The very nature of this dynamic consumer group encourages advertisers to develop dynamic marketing strategies fit for the ever-evolving generation.
The Rise of Video and Social Media
As true digital natives, technology plays a pivotal role in the daily lives of Gen Z consumers, particularly demonstrated by their affinity for video platforms. These shoppers spend more time online than any other generation and are reported to regularly consume video content. The heavy reliance on social media and video platforms shapes the way that Gen Z digests and reacts to new information, as well as how they make purchasing decisions.
From Scrolls to Sales
Social media is a critical touchpoint for Gen Z when it comes to product discovery and research. Over half of Gen Z consumers (51.5%) report finding products through social platforms, making it one of the top drivers of brand awareness. TikTok comes out on top as Gen Z’s preferred brand research platform due to its abundance of user-generated content, which users cite as more authentic and trustworthy (see our post on mastering TikTok advertising). Gen Z is also heavily influenced by paid ads and endorsements from content creators, celebrities, and influencers. Gen Z consistently turns to social media to discover the next big thing, making it an essential tactic for brands to incorporate.
The IRL Revival
Though chronically online, Gen Z still places value on the in-store shopping experience. According to EMarketer, for many, it’s not just about purchasing products – it’s about the experience of getting out of the house and engaging with items firsthand. Additionally, with the abundance of trends and viral products clouding the line between true quality and mere popularity, some Gen Z shoppers even deem the in-store experience an essential part of their decision making process when it comes to purchasing. So despite what your grandma may say, it’s clear that Gen Z still has an appreciation for the tactile experience and testing products out for themselves.
Chasing the Deal
Coming as a surprise to no one, Gen Z shoppers tend to be highly value-conscious when making purchasing decisions – but not at the expense of quality. With so many options (and the resources to discover them), Gen Z is more likely than any other generation to research products before swiping their card. And once a purchase has been made, they’re 10% more likely than the overall population to cite price and quality as motivating factors of a purchase.
“That speaks to their life stage,” said Droesch, noting that because they likely have less money, they’re looking for better value. As digital natives, knowing they can thoroughly research purchases online is likely fundamental to their behavior.
“Even as their spending power increases, this consideration and [desire to] research could remain consistent, and that would be a big difference from older generations,” he said. –Viveiros, EMarketer
As Gen Z continues to redefine shopping habits, businesses must adapt to their unique preferences and meet them where they are. From their reliance on social media for product discovery to their emphasis on price and quality, Gen Z shoppers value both the convenience of digital platforms and the experience of physical stores. To effectively engage with this generation, advertisers must prioritize authenticity, embrace influencer content, and maintain relevancy across the platforms Gen Z uses. By connecting with Gen Z now, businesses have the opportunity to turn them into loyal, lifelong consumers. After all, today’s young shoppers are tomorrow’s brand advocates, shaping the next generation of consumer behavior.